Heretofore, the need for a generation of heat from a central source has relied upon fossil fuels such as coal, natural gas, heating oil, firewood, and the like. In locations where it is economically unsatisfactory to utilize a fossil fuel furnace, electricity has frequently been employed to heat a circulating fluid for distribution throughout the space to be heated. However, the use of electricity has typically been an expensive method of heating, for immersion of electrical circuitry within the circulating fluid has required substantial amperage for sufficient British Thermal Unit (BTU) production of energy. Therefore, a very real need in these times beset by energy shortages and lack of viable heating alternatives is a method for generating heat and the apparatus associated therewith which achieves greater efficiency than the conventional electric furnaces but does not require more expensive or scarce alternative energy sources.